Taxation Essay

Part 1: Question: Explain the understandings with examples from recent big time in the U.K why the U.K judicature activity taxes its citizens. at that place are mixed reasons why the United Kingdoms brass imposes taxes on its multitude. The first tax that was introduced to the UK was the Land (property tax). The government can workout taxes for various reasons such as an anti inflationary fraud in other to remedy the inflation, they would change magnitude the direct taxes without increase its expenditure (with the view that higher ain income tax would inhibit a persons disposable income hence cut down the amount of cash in circulation which would enhance price stability) only if this does not lead often. Secondly another reason why the government of UK taxes its passel is beca function it serves as a source of revenue for the government to subvention up for government expenditure, the government uses the silver gotten for tax to be for public expen diture some of the revenue which they use for such expenditure can come from borrow but a large amount of it comes in finished taxation. other reason is that they use taxes to redistribute the income in the economy.

If thither were a large range surrounded by the moneyed and poor of an economy the government would increase the tax, which the rich payment to funk the gap between the rich and the poor in the economy. The government also uses taxes to step in in the grocery to correct market failure either by increase or reducing the tax, and also firmly tax geological fault good like cigarettes and alcohol to reduce their use of goods and services ! in the economy. A key factor why the government imposes tax in the UK is to correct the balance of salary deficit by imposing taxes like tariffs quotas or an ban (total ban) on some goods to prevent dumping or sometimes outlay and these taxes are usually placed on demerit goods. Another major reason why the government taxes its people is so they can manage the economy by adopting the use of monetary policies either to increase...If you want to get a ample essay, govern it on our website: BestEssayCheap.com

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